Solid Waste Rate Study & Cost-of-Service Modeling

The contract requires the development of comprehensive financial models to allocate costs between residential and commercial solid waste services in a manner that adheres to California’s Proposition 218 and Proposition 26, ensuring that all fees charged are equitable, transparent, and legally compliant. The models must accurately reflect the true cost of service for each customer class, using detailed cost-of-service analysis to support rate structures that prevent cross-subsidization and maintain fiscal accountability. This work is critical for the City of Newport Beach’s Finance Department to establish defensible, legally sound waste service fees that align with state constitutional requirements regarding user fees and local taxation. The solicitation is issued as a subcontract under NAICS code 541611, which pertains to management consulting services, and the response deadline is August 31, 2026. The work is to be performed in support of the City of Newport Beach, California, though specific performance location details are not provided. No set-aside provisions are indicated, and the procurement is open to qualified contractors capable of delivering complex financial modeling with a strong understanding of municipal finance and state law. Success will depend on precise data analysis, clear documentation, and the ability to defend the resulting rate structure against potential legal or public challenge.